Friday, February 17, 2012

LINFLATION: Knicks-Hornets Tickets Triple in Price

The average ticket price to watch the New York Knicks attempt to win their eighth straight game tonight is $557 on the secondary market, tripling in price since Jeremy Lin first joined the starting lineup less than two weeks ago, according to TiqIQ.
Tickets to the game at Madison Square Garden in Manhattan against the New Orleans Hornets, with a 5-23 record, were averaging $181 on Feb. 7, the day after Lin’s first start, according to TiqIQ, an aggregator of the online resale market.
The average ticket price for the Knicks’ next game, against the defending-champion Dallas Mavericks on Feb. 19, is $769 on the secondary market, according to TiqIQ.

Note: LInflation is NOT an example of overall price inflation. It is a shifting of the demand curve, not, for the most part, because of Bernanke money printing, but because the desire to use dollars to buy Knicks tickets has increased. Even in a world of Krugmanite price deflation, Knicks tickets would likely be up in price,because of Linflation.

The average Knicks’ home ticket price for the entire season is now $282, which is 23 percent higher than the $230 average price on Feb. 3, according to TiqIQ.

Linflation: A shift in the demand curve of a single product that causes an increase in the price of that product that is not, for the most part, the result of an increase because of central bank money printing.

The average change over time in the prices paid by Knicks fans for a market basket of consumer goods and services, the CPL (Consumer Price Lindex) is really trending upward. But not to worry, I'm sure the basket Bernanke is looking at assumes Knicks fans will switch to being Nets fans if this continues.